The euro has climbed above $US1.25 for the first time as it resumed its rise against the US dollar in thin post-Christmas trading
Published:
30 December 2003 y., Tuesday
The euro has climbed above $US1.25 for the first time as it resumed its rise against the US dollar in thin post-Christmas trading.
The 12-nation currency rose to a peak of US$1.2506 in European trading, putting it past a previous high of US$1.2473 that was set on December 24.
The five-year-old euro has been on a relentless upward march against the greenback, setting a string of new records since the end of November in a rise driven largely by fears about the US trade and budget deficits.
Low trading volumes in year-end trading have also magnified exchange rate swings, and analysts say many traders are reluctant to counter what has become an entrenched downward trend for the dollar, which has now fallen 19 per cent on the year against the euro.
The rally has led some economists and government officials in Europe to worry that the stronger currency will hurt a recovery expected to take hold next year because the stronger euro makes exporters' goods more expensive compared to those of foreign competitors.
The chief economist for the German Chamber of Commerce and Industry said the euro would hurt exporter profits.
Šaltinis:
theage.com.au
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.
The most popular articles
Reform of the banking system was one of the key themes at this year's World Economic Forum in Davos, with bankers coming in for a lot of criticism.
more »
Small firms have been hard hit by the economic crisis, and so must be given incentives and support, including easier access to credit, help with innovation, tax breaks and less red tape, MEPs on Parliament's Special Committee on the Financial, Economic and Social Crisis (CRIS), and experts agreed at a workshop on Monday.
more »
The elections and investiture of Porfirio Lobo as President of Honduras have cleared the way for the EU to restore normal relations with the Central American country and negotiations for signing a bi-regional Association Agreement may soon resume.
more »
The European Commission has approved applications from Lithuania for assistance under the European Globalisation Adjustment Fund (EGF).
more »
The European Commission has decided to refer Italy to the European Court of Justice (ECJ) on the basis of Article 108(2) of the Treaty on the Functioning of the European Union (TFEU) for failing to comply with a Commission decision of July 2008.
more »
The EBRD is helping to strengthen the financial sector in Bosnia-Herzegovina (BiH) with a €50 million credit line to the Deposit Insurance Agency of Bosnia and Herzegovina (DIA), the Bank’s first investment in a deposit insurance entity.
more »
In its first investment in the natural resources sector in Bosnia and Herzegovina, the EBRD is providing a €17 million sovereign loan to finance the gasification of the Central Bosnia Canton.
more »
The EBRD is increasing the availability of financing to private businesses in Armenia with a $5 million credit line and a $3 million trade finance facility to ArmSwissBank for small and medium companies (SMEs).
more »
On January 27 the European Commission assessed the action taken by Lithuania, Malta, Latvia and Hungary in response to recommendations proposed by the Commission and endorsed by the Council in July 2009 in respect to the correction of their respective budget deficits.
more »
EUROSTAT announced that Lithuania’s GDP rose by 6.1 % in the 3rd quarter of 2009 versus the previous quarter.
more »